A-LevelEconomicsThe price system and the microeconomy9708/12 · May/June 2015 · Q111 Mark
Many people used to smoke in restaurants. Restaurant owners have found that the reduction in smoking caused by a tax on cigarettes has decreased their sales of meals. How would this be shown on demand and supply diagrams for cigarettes and for meals? [Table 11.1]
Amovement along the demand curve
a shift inwards of the demand curve
Bmovement along the supply curve
a movement along the demand curve
Cshift outwards of the demand curve
a shift outwards of the supply curve
Dshift outwards of the supply curve
a movement along the supply curve
✓ Correct answer
A: movement along the demand curve a shift inwards of the demand curve
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